Gigante Salmon announced that it has secured half of the funds, approximately NOK 100 million, needed to cover the increased construction costs at its farm in Rødøy, Norway. In the same statement, they also mentioned that they are considering a private placement for the other half.
On Wednesday, the company made the stock market announcement in hopes of continuing the construction of their farm in Norway. After an initial budget, the situation has led to an expansion of costs compared to what was offered on September 7th. Specifically, the current estimate for the construction of their farm is an additional NOK 200 million (EUR 17.3 million/USD 18.2 million).
Furthermore, among the details shared by the company regarding the funds, they clarified that they have reached a long-term lease agreement with SpareBank 1 Finans Nord-Norge to finance approximately NOK 100 million (EUR 8.7 million/USD 9.1 million) of the increased costs. Additionally, Gigante Salmon expects to obtain the remaining portion through a private placement of new shares.
Gigante Salmon Rødøy AS, a subsidiary of Gigante Salmon AS, is spearheading the aquaculture industry in Rødøy Municipality. With a production permit for 13,731 MTB salmon in Lille Indre Rosøy, their cutting-edge facility is currently under construction and set to receive its first fish in the latter half of 2023.
Gigante Havbruk AS, a member of the Gigante Salmon family, actively holds a majority stake of 61%. They focus on smolt and salmon production, while also conducting research and development specific to salmon. Kjell Lorentsen founded this family-owned company in 1988, and it maintains control over the complete salmon value chain. Headquartered in Bodø, the company strategically operates primarily in the Salten and Helgeland regions.
